The EURUSD has currently stabilized slightly below the 1.1162 zone, Fibonacci’s 161.8%, where the sellers will likely place pressures to take control the price.
The price, since the 29th of August 2016, has been oscillating within a downside formation between the range of 1.1200 and 1.1130 respectively.
Probable Scenario
The latest formation below the 1.1162 level is a good indication that the sellers may take control over the pair in today’s trading session.
In the event where the pair drops and the sellers take over, the price could decline to 1.1036 Fibonacci’s 261.8%.
The Stochastic oscillator’s main and signal lines indicate that the price has greater probabilities to decelerate at the 75 zone.
Alternative Scenario
Alternatively, in the scenario where the bulls are able to place greater pressures and the pair remains above the 1.1241 area, the price could rise to 1.1366 Fibonacci’s 0.0%.
Today’s Major Announcements
- Germany’s Unemployment Change (Aug), the Unemployment Rate s.a. (Aug), the euro zone’s Consumer Price Index – Core (YoY) (Aug) and the Consumer Price Index (YoY) (Aug) announcements will likely have a strong impact on the euro
- The ADP Employment Change (Aug), the Chicago Purchasing Manager’s Index (Aug), the Pending Home Sales (YoY) (Jul), and the Pending Home Sales (MoM) (Jul) releases are expected to have a medium impact on the U.S. dollar
Synopsis
- Probable trend (Bearish): 1.1162
- Bearish take profit target: 1.1036
- Stop loss target: 1.1241
- Alternative trend (Bullish): 1.1241
- Bullish take profit target: 1.1366